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Investment Strategies: From Wall Street to Main Street Hingham MA

The Stock Market Performance in 2016 and Oil Prices

By Craig Hartnett Hingham MA

For the stock market, the first 5 trading days of a new year were the worst in history. Does that mean the decline in oil and commodity prices are going to cause a recession? The decline in oil prices negatively impacts 18% of the companies in the S&P 500 and positively impacts the other 82%. However, the negative impact is more immediate on those companies whereas the positive impact is realized more slowly. Therefore the medium to long term impact from the decline in oil is positive for the economy.

This is meant to provide perspectives on three investment strategies and not a recommendation from Craig Hartnett to investors in Hingham MA and the South Shore community.

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